Fujitsu and Toshiba to unite phone businesses

21st June, 2010 by adina
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Fujitsu and Toshiba have concluded a provisory deal to merge their phone businesses. According to the memorandum of understanding, Toshiba will hand off this business to a new, not yet named company, while Fujitsu is expected to buy the majority of shares of the new entity which would begin on October 1st. The formalization of this agreement is expected by the end of next month.

The two companies hope to achieve enough strength by combining their forces, in order to become the top seller of the phone industry in Japan. Fujitsu is already ranked second thanks to the close relationship it has with NTT DoCoMo, while Toshiba has a smaller share of the market and is struggling to get more due to its Windows Mobile-based handsets which have lost the battle with the iPhone.

Fujitsu and Toshiba have grown together in 2009. As a result, Toshiba has received from Fujitsu the hard drive business of the latter and a total of 7,000 workers.


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